If your home was list on the real estate market and failed to sell, or is currently on the market, you may be frustrated and like many people, you may be wondering, what’s wrong with my home that it won’t sell? Well, fear not because usually when a home isn’t selling, it has little to do with the property itself. I’ve seen stunning homes in great locations that have failed to sell. If your home isn’t selling it is important to step back and try to do an objective assessment as to what the problem may be. Now it can be difficult to be objective about our own homes so you may need some help with this. First of all, take a look at how your home shows online.
Do the photographs of the home look appealing even enticing? When buyers look at your home online are they saying “wow that looks nice” or are they more likely to say “eh” and move on to the next one? If you want buyers looking at your home in person you first need to grab their attention online. This is where professional staging can be very helpful. A stager knows what the camera sees and can make recommendations on how to arrange furniture, add pictures and flowers, and so on so that your home will attract more attention online. If your home is vacant you may want to
consider staging it with furnishings. A furnished home creates more emotional appeal and gives a buyer a better perspective as to the size of the rooms. Vacant rooms will usually appear smaller than rooms that are furnished. I’ve seen firsthand the difference professional staging can make and in some cases, it is remarkable and can make thousands of dollars of difference in the sale price of a property.
Remember price is a function of supply and demand so the more demand you can create for your home the better your chance of selling it and selling it for more money. Now it is important that when buyers do come and look at your home that it is consistent with what they’ve seen online. Keep in mind that if your home shows great in the photographs then buyers are expecting it to look great when they get there so you don’t want to drop the ball here. I’ve seen lots of examples of homes that look great online but when you see them in person you are greatly disappointed. Photographs won’t show flaws and poor quality workmanship so again it is important you’ve done that work first.
Now assume you’ve done all that. The home shows great in person and online and it is still not selling - now what? Well, you will now want to review the marketing of the property. It could be the house shows great but no one knows about it so ask your agent for a detailed outline of the marketing that is being done. If it is being done effectively your home should appear everywhere a buyer could search for a home online. So literally hundreds of property search websites, social media like Facebook and Instagram, Twitter, YouTube videos, Google, and Kijiji. The list quite literally goes on and on. Again, the key is to creating as much demand as possible for your home as possible so it has to be marketed very well. And the thing is it is not that hard to do this.
The great thing about online marketing is you can target specific demographics of buyers who may be interested in your home. For example, is your home best suited to a first-time buyer? then you will want to target younger buyers who are currently renting. Or do you have a larger family home? Then you will want to target people in their 30's and 40's who have growing families. Often these buyers will already own a smaller home in your neighborhood and just want to move up in the area so they can keep their kids in the same school. So important to know who your target market is and then market to them for maximum effect.
Now if you believe your home shows well and is being marketed to the fullest extent possible and it is still not selling, then there is a very good chance you’re property is not priced competitively. I’ve found that most homeowners are typically a year or two behind the market. So when prices are going up they are often pleasantly surprised that their home is worth as much as it is BUT when prices are going down as they are currently doing then most home sellers tend to price their home as to what it was worth a year or two ago. This is very common problem I see in today's market and it is very dangerous because in a market where prices are declining the longer it takes you to sell the less money you are likely to get and overpricing it will usually cost you more money than pricing it correctly at the outset.
Unfortunately, you don’t decide what your home is worth and neither does your real estate agent or the city tax department or even a real estate appraiser. It is the buyers in the market who decide what your home is worth because their the ones writing the cheque. If they see better value in other properties they’re not going to make an offer on yours. Why would they?
Here’s how you can determine if the price is a factor in why your home isn’t selling. First is anyone coming to look at your home at all or are you getting no showings whatsoever? If this is the case you are likely significantly overpriced and buyers are determining that it is not even
worth their time to look at your home in person. If your getting showings but no offers then you are likely somewhat overpriced but not grossly overpriced. Buyers are choosing to look at your home but likely buying other properties because they feel they offer better value. As a rule
of thumb, you should have an offer within 10 showings. If not, it is time to reexamine your price.
You will know you are close to market value is if you have buyers coming back for a second look or even a third look. Usually, this means you’ve made their shortlist and it is one of their top choices. If this is happening you may just need to give it a little more time or make a small price adjustment.
Now you may not like what the market is telling you with regards to your price but if you want to sell your home you will need to adjust your expectations to where the market is because unfortunately, the market will not adjust to your expectations. The market is what it is and you have to work with it if you want to be successful.
I hope this has been helpful. As always if you have any questions about pricing you home or the current real estate market, please reach out to me at 780-462-5002 or by email at firstname.lastname@example.org.